Andhra: Stay Away From Investing In Land

September 01 , 2014 | UPDATED 07:05 IST

With the Sivara makrishnan commit tee recommendations on the new capital spreading chaos, realtors are now hesitant about investing in the fluctuating market.

After the committee strongly rec ommended not acquiring land in Krishna, West Godavari and Guntur, they are afraid whether it would be possible for the state government to veto the report. This, especially as it may not be an easy task for chief minister Chandrababu Naidu to prevail upon Prime Minister Narendra Modi to grant funds liberally for the capital, thus making it necessary to cut down on the cost of land acquisition.

“Without land acquisition or land pooling, it is difficult to have a landmark capital city,“ said Swamy, a builder, adding that such a city is required for the new state to attract investments on a global scale.

However, with confusion prevailing over the location of the capital, no one is willing to invest more now.Although, the committee had suggested taking Musunuru, Nuzvid, Amaravati and Pulichintala into consideration for locating certain government installations like Sec retariat, CMO and assembly building, the market prices did not witness any movement on Saturday .

“New buyers are not visiting the area as rates are already very high. They might be waiting for the official announcement,“ said Manikyala Rao, a local farmer, adding that farmers were already quoting prices ranging between Rs 5 -10 crore per acre, making investors think twice.

Meanwhile, TDP leaders fumed at the Sivaramakrishnan committee for suggesting a small capital instead of going for a super-city model.